Used Equipment, Rental Rates Up, Auction Values Down - Rouse Report
Used equipment price continue (slightly) their upward trend, rental centers are able to increase rates, but auction proceeds, for the first time since February, slid below the Forced Liquidation Value, according to Rouse Services data.
The June Rouse Value Index for used equipment prices increased to 45.8, up 0.1% from May values. This is 5.7% higher than the prior peak period of 43.3 in April 2007, and 54.3% higher than prior trough period of 29.7 in June 2009.
During April, achieved rental rates as measured by the Rouse Rate Index increased 0.3% on average for the rental companies participating in the company's benchmark service. Rates are up 4.5% relative to April 2013 and up 23% relative to January 2011. April physical utilization is up 2.8% from March.
June auction sales of rental and construction equipment tracked by Rouse averaged 4.4% lower than Rouse May FLV values. Rouse recorded 3,453 units that sold at 40 separate auction sales conducted across North America. The units represented a combined FLV (as of May 31st) of $88.5 million and generated $84.6 million of gross auction proceeds.
Find a pdf of the report here.
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